15) Reducing the maximum LTV is likely to ________ demand and thus ________ the housing price increase. A) decrease; slow down B) increase; slow down C) decrease; speed up D) increase; speed up
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15) Reducing the maximum LTV is likely to ________
A) decrease; slow down
B) increase; slow down
C) decrease; speed up
D) increase; speed up
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- Harold's MPC is .70. Harold has just received a birthday card with $100 inside. How much will Harold spend buying a gift for himself? $70 $100 $125 $0Suppose this business works in the short-term: MPL APL TPL L 0 0 5 1 6 2 12 3 32 4 8 5 7 6 Complete the table ?The DCFs is the net-present-worth (or net-present-value) (NPW or NPV) method.True or false?
- Consider the following 2-period model U(C1,C2) = min{3C1,4C2} C1 + S = Y1 – T1 C2 = Y2 – T2 + (1+r)S Where C1 : first period consumption C2 : second period consumption S : first period saving Y1 = 20 : first period income T1 = 5 : first period lump-sum tax Y2 = 50 : second period income T2 = 10 : second period lump-sum tax r = 0.05 : real interest rate Find the optimal saving, S*what is the equilibrium income in this IS-LM model? Y = C +I +GC = 200+0.8(Y-T )I = 1,600-100ｒ G =T = 1,000MS= 5,000 P =2MD/P= 0.5Y - 250ｒ +500 ➀ 5000 ➁ 6000 ➂ 7000 ➃ 8000 ➄ 10000 Please type out the correct answer ASAP within 40 min with proper explanation of the each option given. Will give you thumbs up only for the correct answer.Tom and Sue had W-2 earnings of $100,000 last year. They deposited $5,000 into each of their IRAs from money that was in their checking account. They also sold their five year old car for $1,000 less than it was worth. Due to a slow down in the housing market, the value of their home decreased by $25,000. What is their change in net worth? a. No change b. Minus $19,000 c. Minus $26,000 d. Plus $9,000 e. Plus $74,000
- Marginal Propensities to Consume and to Save Disposable Income Consumption Saving MPC MPS P16,000 P16,100 -- -- -- 12,000 12,000 -- -- -- 15,000 14,800 -- -- -- 16,000 15,500 -- -- -- 17,000 16,100 -- -- -- 18,000 16,600 -- -- -- 1. Solve for Savings, MPC and MPS 2.. Why must the sum of the MPC and MPS always equal 1?If the government increases defense spending by $1 billion and the MPC is 0.8, how much additional spending will occur in the third “round” of spending? a. $1 billion b. $1.8 billion c. $800 million d. $640 millionHow has the collapse of the building sector affected the supply of housing in 2023 and why? Explain with the help of a well-labeled diagram. Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.